10 Units | Studio City | Exchange Buyer | Off Market
Considering selling? Get a complimentary, confidential valuation.
This impressive off-market sale of 11408 Sarah St, a 10-unit newer construction property in Studio City, CA.
Deal Story
In November of 2021, an outside agent who was representing a 1031 exchange buyer submitted an offer on a different new construction listing we had at the time. The listing that this agent and his buyer submitted on was no longer available, but with our large reach of clients, we were able to show this buyer a different property that was similar to the other one they were interested in. This 1031 exchange buyer liked this property very much, and since he was running out of time on his 45 day identification period, he decided to identify this property before even getting an accepted offer.
The exchange buyer gave our seller an excellent offer at $5,726,000, and the offer was completely non-contingent, without an inspection. The seller accepted the offer, we opened escrow shortly after, and when the buyer wired in his 3% initial deposit, that money immediately become non-refundable. Escrow went as smoothly as we could hope, leading to our successful close today.
The seller of this property was the original developer who built this property in 2019. His motivation to sell was to do a 1031 exchange with the proceeds. Since the upside of this building is capped out, with most of the rents at full market-rates, the seller is able to get the maximum amount of sale proceeds by selling in a great market and then use those proceeds to purchase a new development and/or value-add deal, allowing him to move on to his next value-add venture.
This impressive off-market sale of 11408 Sarah St, a 10-unit newer construction property in Studio City, CA.
Deal Story
In November of 2021, an outside agent who was representing a 1031 exchange buyer submitted an offer on a different new construction listing we had at the time. The listing that this agent and his buyer submitted on was no longer available, but with our large reach of clients, we were able to show this buyer a different property that was similar to the other one they were interested in. This 1031 exchange buyer liked this property very much, and since he was running out of time on his 45 day identification period, he decided to identify this property before even getting an accepted offer.
The exchange buyer gave our seller an excellent offer at $5,726,000, and the offer was completely non-contingent, without an inspection. The seller accepted the offer, we opened escrow shortly after, and when the buyer wired in his 3% initial deposit, that money immediately become non-refundable. Escrow went as smoothly as we could hope, leading to our successful close today.
